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119-hr-4366119th CongressWALLET

Save Local Business Act

Sponsored By: Representative Comer, James [R-KY-1]

In Committee

Summary

Narrows the joint-employer standard to require that each employer directly, actually, and immediately controls key employment terms. The Save Local Business Act would change both the National Labor Relations Act and the Fair Labor Standards Act so joint-employer status applies only when each employer has immediate, significant control over essential terms like hiring, firing, pay, supervision, schedules, positions, and discipline.

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  • Workers: This bill would make it harder for employees to hold multiple firms jointly responsible for labor violations because joint-employer status would require direct, day-to-day control by each employer.
  • Businesses that share workers: Companies that use another firm’s staff or contractors would face a narrower risk of being treated as joint employers, which could limit joint liability and reduce overlapping compliance obligations.
  • Agencies and courts: The bill would align the FLSA joint-employer test with the NLRA criterion and set specific definitions for "employee" and "employer" when applying that test, creating a single control-based standard for enforcement and litigation.

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Bill Overview

Analyzed Economic Effects

1 provisions identified: 0 benefits, 0 costs, 1 mixed.

New joint-employer test for businesses

If enacted, this bill would narrow when two firms count as joint employers. It would change the NLRA and FLSA tests so each firm must directly, actually, and immediately control key job rules. Examples include hiring, firing, pay and benefits, day-to-day supervision, schedules, and discipline. If passed, franchisors, contractors, and staffing firms would likely face less joint-employer liability. Some workers could lose a way to hold more than one company responsible for wage or labor violations. The change would take effect upon enactment.

Sponsors & CoSponsors

Sponsor

Comer, James [R-KY-1]

KY • R

Cosponsors

  • Rep. Hern, Kevin [R-OK-1]

    OK • R

    Sponsored 9/2/2025

  • Rep. Onder, Robert F. [R-MO-3]

    MO • R

    Sponsored 11/17/2025

Roll Call Votes

No roll call votes available for this bill.

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